Matador Resources(US:MTDR) ZACKS·2025-10-22 14:31Core Insights - Matador Resources Company (MTDR) reported third-quarter 2025 adjusted earnings of $1.36 per share, exceeding the Zacks Consensus Estimate of $1.22, but down from $1.89 in the same quarter last year [1][10] - Total revenues reached $939 million, surpassing the Zacks Consensus Estimate of $883 million and increasing from $899.8 million year-over-year [1][10] Production and Sales - The better-than-expected quarterly results were driven by an increase in total production volumes, although this was partially offset by lower oil price realizations and higher total operating expenses [2] - Average daily oil production was 119,556 barrels, a 2% increase from the anticipated figure, and exceeded guidance due to the strong performance of existing wells and new wells brought into production [4][6] - Total oil equivalent production in Q3 was 209,184 BOE/D, reflecting a 22% increase from 171,480 BOE/D in the prior year [8] Commodity Prices - The average sales price for oil was $64.91 per barrel, down from $75.67 a year ago and lower than the projected $65.18 [5] - Natural gas price was $1.95 per thousand cubic feet (Mcf), up from $1.83 in the year-ago quarter but below the estimate of $2.81 [5] Operating Expenses - Total operating expenses per BOE were $30.31, slightly higher than the prior-year figure of $30.09 but below the estimate of $31.64 [12] - Lease operating costs increased to $5.58 per BOE from $5.50 a year ago, while plant and other midstream services' operating expenses decreased to $2.63 per BOE from $2.77 [11] Financial Position and Capital Expenditure - As of September 30, 2025, MTDR had cash and restricted cash of $96.4 million and long-term debt of $3,219.6 million [13] - The company spent $347.5 million on well drilling, completion, and equipment in Q3 [13] Outlook - Matador updated its full-year 2025 average daily oil equivalent production guidance to 205,500-206,500 BOE/D from 200,000-205,000 BOE/D [14] - The company expects average daily total production for Q4 2025 to be 205,000-208,000 BOE/D and has increased its total 2025 capital expenditure forecast to $1.625-$1.725 billion [14] - For 2026, an organic increase in daily production to approximately 210,000 BOE is forecasted, with oil production expected to grow 2-5% from 2025 to 2026 [14] Dividend Announcement - Matador announced a 20% increase in its quarterly cash dividend, raising it from $0.3125 per share to $0.375 per share for Q3 2025, with an annualized dividend of $1.50 [9]